After installing SP2 SSRS will not start

Installed SP2 and now SSRS will not start.

Errors:

At Report Manager URL: The report server is not responding. Verify that the report server is running and can be accessed from this computer. At Report Server URL: The report server has encountered a configuration error. See the report server log files for more information. (rsServerConfigurationError) Access to the path '<DRIIVE>\Microsoft SQL Server\MSSQL.2\Reporting Services\ReportServer\RSReportServer.config' is denied. In SSS Log Files: ReportingServicesService!library!8!6/20/2007-16:04:04:: i INFO: Current DB Version C.0.8.40, Instance Version C.0.8.54.
ReportingServicesService!library!8!6/20/2007-16:04:04:: i INFO: Starting upgrade DB version from C.0.8.40 to C.0.8.54.
ReportingServicesService!library!8!6/20/2007-16:04:04:: e ERROR: Exception caught while starting service. Error: System.Data.SqlClient.SqlException: Could not locate entry in sysdatabases for database 'PD'. No entry found with that name. Make sure that the name is entered correctly.
at System.Data.SqlClient.SqlConnection.OnError(SqlException exception, Boolean breakConnection)
at System.Data.SqlClient.SqlInternalConnection.OnError(SqlException exception, Boolean breakConnection)
at System.Data.SqlClient.TdsParser.ThrowExceptionAndWarning(TdsParserStateObject stateObj)
at System.Data.SqlClient.TdsParser.Run(RunBehavior runBehavior, SqlCommand cmdHandler, SqlDataReader dataStream, BulkCopySimpleResultSet bulkCopyHandler, TdsParserStateObject stateObj)
at System.Data.SqlClient.SqlCommand.RunExecuteNonQueryTds(String methodName, Boolean async)
at System.Data.SqlClient.SqlCommand.InternalExecuteNonQuery(DbAsyncResult result, String methodName, Boolean sendToPipe)
at System.Data.SqlClient.SqlCommand.ExecuteNonQuery()
at Microsoft.ReportingServices.Common.DBUtils.ApplyScript(String connectionString, String script)
at Microsoft.ReportingServices.Library.ConnectionManager.EnsureCorrectDBVersion()
at Microsoft.ReportingServices.Library.ConnectionManager.ConnectStorage()
at Microsoft.ReportingServices.Library.ServiceController.ServiceStartThread()
ReportingServicesService!library!8!6/20/2007-16:04:04:: e ERROR: Attempting to start service again...

When I go to the RS Configurator the Database is reported as .40 and the Upgrade Button results in an upgrade success but the Database stays the same version.

Joy....

Much help needed and appreciated....

-p

Since the upgrade went so horribly I created a NEW SSRS database using the SSRS Configuation Tool. I also had to change the permission the '<DRIIVE>\Microsoft SQL Server\MSSQL.2\Reporting Services\ReportServer\RSReportServer.config' file. I have NO idea why the services could r/w from the file before the upgrade and not afterwards that actually scares me the most about this because the SQL team can't fix my box with a QFE. The database upgrader is clearly buggy and that scares me as well, but I bet the SQL team could fix that and repair turfed databases via script.

The impact of doing this meant I had to re-do the following things:

Re-set all Permissions and Site Settings (I had customized the My Reports role) Recreate all Folders and Permissions. (I have top level folders and grant rights there not at the HOME folder). Re-publish all reports (for me and all my "My Users") Re-set passwords on Data Sources which needed them. Inform users all subscriptions were lost